The table below shows various values of labour (L) ,capital (K) ,and technology (T) for Economies A,B,and C.In each case,the aggregate production function takes the following form:
Y = T ×
TABLE 25-4
-Refer to Table 25-4.The production function that applies to Economies A,B,and C displays
A) increasing returns to scale.
B) increasing marginal returns to labour.
C) diminishing marginal returns to labour.
D) constant returns to scale.
E) Both C and D are correct.
Correct Answer:
Verified
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